US car giant General Motors has signed a final agreement to acquire key assets of South Korea's bankrupt Daewoo Motor for $251 million in cash, capping off more than a year of buyout talks.
GM agreed to take a 42.1% stake in a joint venture with Daewoo creditors to revive South Korea's third-largest automaker in sales terms.
The creditors will hold 33% and GM partner companies will take a 24.9% stake, GM said in a statement.
The deal marks a major victory for a government that has pushed to draw foreign capital, while offering GM a far larger foothold in one of Asia's largest auto markets.
The joint venture will operate two plants in South Korea and one in Vietnam. It also agreed to assume nine mostly sales units overseas.
* Daewoo Ireland's executive chairman Gerard O'Toole said GM's investment would lead to a 'rapid acceleration' of models on to the Irish market. The group has 21 dealers throughout Ireland.
